Iran Says It's Collecting Tolls on Strait of Hormuz

Iran says it's letting certain ships pass through the Strait of Hormuz—for a fee. As the US-Israeli war with Iran continues, "Iran will continue to impose fees for the safe passage of ships through the strait," an Iranian Foreign Ministry rep was quoted as telling state-aligned media, per the Wall Street Journal. "Countries not involved in this aggression can pass through the strait after the necessary coordination with the Iranian side to ensure the safe transit of their vessels," the rep added. This comes after unverified reports that Iran is demanding hefty payments from vessels seeking to pass through the key oil route, where traffic has been largely frozen. Fox News reports some tankers were asked to pay $2 million.

"Because war has costs, naturally we must do this and take transit fees from ships," Fox quotes Iranian lawmaker Alaeddin Boroujerdi as saying. Reports indicate Iawmakers are now drafting a bill regarding the passage fees, framing the move as a way to formalize Iranian oversight and provide "secure passage" through the strait. A Revolutionary Guard-linked outlet reported the draft isn't finished but could be ready for parliament as soon as next week, per CNBC. Such a move could further escalate tensions in the Middle East. Energy expert Karen Young tells CNBC she doubts Iran can actually turn the strait into a toll road, saying Gulf Cooperation Council states like Saudi Arabia and the UAE wouldn't tolerate such a move.